Relates to primary social security retirement benefits for members of the New York city fire department pension fund

• Democratic3

◆ The sponsor's argument

Why Andrew Gounardes says this is needed

This bill would restore a pension plan benefit for New York City fire- fighters that existed prior to the veto of the Tier 2 extender by Gover- nor Paterson in 2009. Currently, Tier 3 and "Modified Tier 3"/Tier 6 members of the New York City Fire Department Pension Fund are eligible for a number of service retirement benefits, or pensions. A normal service retirement benefit is payable upon completion of 22 years of service. An early service retirement benefit is payable upon 20 years of service or age 62 for Tier 3 or 20 years of service for Modi- fied Tier 3 and is equal to 2.1% of final average salary for each month in excess of 20 years, not to exceed 50% of final average salary. A vested retirement benefit is also available for members with at least five years of uniformed service who reach 55 years of age, and is equal to 2.1% of final average salary. For Tier 3 members hired between July 1st, 2009 and March 31st, 2012, this final salary is based on a three- year average. For Modified Tier 3 members hired after April 1st, 2012, this final salary is based on a five-year average. All of these types of pensions, however, are automatically reduced by 50% of the value of the member's Social Security benefit when the reti- ree reaches the age of 62. This Social Security offset affects Tier 3 members almost exclusively, as both older retirees hired under Tiers 1 and 2 and firefighters retiring under accidental or ordinary disability benefits are not subject to the offset. Firefighters in the rest of the state are also immune to the offset as many of them were hired under later tiers that are not subject to it. Thus, it is only New York City firefighters hired after July 1st, 2009 that are forced to see their pensions automatically reduced when they reach the age of 62. This is clearly unjust, as firefighters in our state's largest city are putting their lives on the line at the same or greater frequency as firefighters upstate. Additionally, younger members hired onto the force should not have to see their pensions cut when they reach age 62 due to factors that are entirely outside of their control. The Social Security offset makes it harder to recruit and retain the experienced civil serv- ants needed to keep New York City safe. This bill provides needed parity between Tier 3 firefighters and other firefighters in New York State by eliminating the Social Security offset for their pensions.

This is the sponsor's own case for the bill, quoted from their memorandum. It is not Agora's description of what the bill does.